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  1. #1
    Join Date
    Sep 2007
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    5

    Default Old Credit Card Debt, Still on Credit Report

    I was stipud when I was in college and ended up racking up debt on credit cards...which started out at under $6000 but now, with interest has gone over $12,000.

    I have paid off one of the cards, but the others remain. I made the mistake of disputing a debt, as I did not recognize it (the interest made the amount HUGE), and then signed up on a payment plan. I am paying off this card at $100 a month (which I cannot afford). But the others will be on my record until the 7 years is up...I believe that will be 2009.

    I currently do not have the money to pay any of them off, and as you can imagine my FICO score is in the toilet. I also am unable to get more credit (to help raise my score) because of course no one will give me any. My credit report is keeping me from getting a new place to live, and That terrifies me as I am living in a place that is unstable.

    I have a few questions.

    1. does the SOL apply to the state you lived in when you got the credit card? I have since moved to a state with a longer SOL, and I just want to make sure it doesn't change if you move.

    2. Is there anything to be done to help my FICO score as I am now?

    3. after the 7 years, do they have to remove the cards from my Credit report? I keep reading about how people have things reported after that 7 year period, is that legal?

    4. if I find a way to get the current agency to offer me a settlement, what should I do to make sure that they in fact do settle it..and don;t bring it up again later? what sort of records should I keep?

    thank you in advance!

  2. #2
    Join Date
    Jan 2006
    Posts
    38,867

    Default Re: Old credit card debt, still on CR

    1. does the SOL apply to the state you lived in when you got the credit card? I have since moved to a state with a longer SOL, and I just want to make sure it doesn't change if you move.
    it depends on what states are involved. There are "borrowing statutes" that impress the origianl states SoL onto the debt as well as statutes that simply toll the SoL due to leaving the state. In some states the "new" states SoL is used.

    2. Is there anything to be done to help my FICO score as I am now?
    Probably not unless you are a fantastic salesman.

    3. after the 7 years, do they have to remove the cards from my Credit report? I keep reading about how people have things reported after that 7 year period, is that legal?
    actually, it often ends up being about 7 1/2 years but if you are still paying on a debt, it will continue to be reported and will only drop after that 7-7 1/2 years after you stop paying.

    4. if I find a way to get the current agency to offer me a settlement, what should I do to make sure that they in fact do settle it..and don;t bring it up again later? what sort of records should I keep?
    everything needs to be in writing

  3. #3
    Join Date
    Jul 2006
    Location
    Ohio
    Posts
    1,094

    Default Re: Old credit card debt, still on CR

    Quote Quoting Siren223
    View Post
    I was stipud when I was in college and ended up racking up debt on credit cards...which started out at under $6000 but now, with interest has gone over $12,000.

    I have paid off one of the cards, but the others remain. I made the mistake of disputing a debt, as I did not recognize it (the interest made the amount HUGE), and then signed up on a payment plan. I am paying off this card at $100 a month (which I cannot afford). But the others will be on my record until the 7 years is up...I believe that will be 2009.

    I currently do not have the money to pay any of them off, and as you can imagine my FICO score is in the toilet. I also am unable to get more credit (to help raise my score) because of course no one will give me any. My credit report is keeping me from getting a new place to live, and That terrifies me as I am living in a place that is unstable.

    I have a few questions.

    1. does the SOL apply to the state you lived in when you got the credit card? I have since moved to a state with a longer SOL, and I just want to make sure it doesn't change if you move.

    2. Is there anything to be done to help my FICO score as I am now?

    3. after the 7 years, do they have to remove the cards from my Credit report? I keep reading about how people have things reported after that 7 year period, is that legal?

    4. if I find a way to get the current agency to offer me a settlement, what should I do to make sure that they in fact do settle it..and don;t bring it up again later? what sort of records should I keep?

    thank you in advance!
    This might be helpful:
    http://www.ftc.gov/bcp/conline/pubs/credit/repair.shtm

    It says 7 years not 7 1/2. The state of the bank is the state to determine the SOL.

    In the above link, Federal Trade Commission has provided factual answers to the questions you have asked, including resources where you can get advice on how to improve your score.

    Good luck.

  4. #4
    Join Date
    Mar 2005
    Location
    Michigan
    Posts
    28,906

    Default Re: Old credit card debt, still on CR

    The six month period relates to the time before a delinquency is charged off or sent to collections. The collections activity or charge-off can be reported for seven years, plus that initial period of up to six months, and thus the negative entry can remain on the credit report for up to 7-1/2 years.

  5. #5
    Join Date
    Jan 2006
    Posts
    38,867

    Default Re: Old credit card debt, still on CR

    The state of the bank is the state to determine the SOL.
    and you got this BS where? There are situations that do specify a contractual obligation to observe a particular states SoLs but without such direction, the state in which the agreement took place controls. (i.e., where the debtor lived at the time of incurring the indebtedness)

    as I stated earlier, there are often statutes in each germane state that can apply the SoL of another state within their own as well as tolling the time applied towards the running of the SoL.

    each involved states statutes would need to be consulted to determine what SoL applies.

  6. #6
    Join Date
    Jul 2006
    Location
    Ohio
    Posts
    1,094

    Default Re: Old credit card debt, still on CR

    [QUOTE]
    Quote Quoting jk
    View Post
    it depends on what states are involved. There are "borrowing statutes" that impress the origianl states SoL onto the debt as well as statutes that simply toll the SoL due to leaving the state. In some states the "new" states SoL is used.
    WRONG!
    Correct answer:
    The general rule relating to personal jurisdiction (as opposed to subject matter jurisdiction) jurisdiction is that a defendant can be sued where he resides or does business or where the transaction giving rise to the lawsuit occurred. There is also something called “long arm” jurisdiction permitting a defendant to be sued wherever he has had “minimum contacts” with that jurisdiction (and it doesn’t take much). There is a specific provision of California law that provides that if the person is out of the state, the statute of limitations may not run (legally speaking, it is said to be “tolled”) while the person is out of the state. Insofar as jurisdiction is concerned, it is very possible that you could be sued in one of several places.

    Probably not unless you are a fantastic salesman.
    Sarcasm is not necessary.
    You may find many ways to improve your score such as paying off the smallest debts first. (But making no payment on the debt you are presently discussing)

    actually, it often ends up being about 7 1/2 years but if you are still paying on a debt, it will continue to be reported and will only drop after that 7-7 1/2 years after you stop paying.
    The correct answer is :
    The credit reporting time is 7 years, beginning on the date of the delinquency NOT the reporting date, last transaction date, charge off date......I suggest you review the law according to the Federal Trade Commission
    http://www.ftc.gov/os/statutes/fcra/johnson.shtm

    everything needs to be in writing
    The correct answer to this question is sign nothing and put nothing in writing. It is in your best interest to make no payment nor to attempt to settle. After the SOL expires they can't sue you.

    But they sure can harrass you.
    You can put a stop to that also by just taking the time to read the Fair Debt Collection Act and learn your rights.

    You may speak with an attorney to learn more about this.

  7. #7
    Join Date
    Sep 2007
    Posts
    5

    Default Re: Old Credit Card Debt, Still on Credit Report

    Thank you Thank you THANK YOU!


    I just moved from Texas in 2006. All my credit cards were in collections before I moved, so I assume that the SOL I should be worried about is the Texas SOL.

    The only one that I am paying on I started making payments on in Washington, does the Wa sol now apply to that one?

    I know I made a mistake in paying it.


    If I do not make any payments on the others (not including the one I am paying on) will the debts "go away" or will they still come after me in the future? And if the answer is that they can come after me, what happens if I am able to make payments, does the entire process start over with those same debts?

    I know that most people feel a moral obligation to pay off credit card debt....so I am not asking for an okay in the morality department, but after the 7 years..and the debts are off my record...is there any other obligation (beside possible moral obligation) to pay these off?

    Part of me is incredibly angry about these companies and feel they somewhat deserve to lose money for giving credit to college students who don't know any better.

  8. #8
    Join Date
    Jul 2006
    Location
    Ohio
    Posts
    1,094

    Default Re: Old Credit Card Debt, Still on Credit Report

    I know what you mean...they set up camp in student unions with there offers to buy now pay later. And pay that interest we do!

    At the end of 7 years you will write to have that debt removed from you credit report. The statute of limitations is the period of time the creditor can sue you. The time runs or ends when the 7 years is ended. They cannot sue but they more than likely will try to intimidate you and you will stop that from happening.

    The WA delinquency debt began with your last payment. Count SOL from that date.

  9. #9
    Join Date
    Jan 2006
    Posts
    38,867

    Default Re: Old credit card debt, still on CR

    [quote=deadlock;134267]

    WRONG!
    Correct answer:
    The general rule relating to personal jurisdiction (as opposed to subject matter jurisdiction) jurisdiction is that a defendant can be sued where he resides or does business or where the transaction giving rise to the lawsuit occurred. There is also something called “long arm” jurisdiction permitting a defendant to be sued wherever he has had “minimum contacts” with that jurisdiction (and it doesn’t take much). There is a specific provision of California law that provides that if the person is out of the state, the statute of limitations may not run (legally speaking, it is said to be “tolled”) while the person is out of the state. Insofar as jurisdiction is concerned, it is very possible that you could be sued in one of several places.


    Sarcasm is not necessary.
    You may find many ways to improve your score such as paying off the smallest debts first. (But making no payment on the debt you are presently discussing)



    The correct answer is :
    The credit reporting time is 7 years, beginning on the date of the delinquency NOT the reporting date, last transaction date, charge off date......I suggest you review the law according to the Federal Trade Commission
    http://www.ftc.gov/os/statutes/fcra/johnson.shtm



    The correct answer to this question is sign nothing and put nothing in writing. It is in your best interest to make no payment nor to attempt to settle. After the SOL expires they can't sue you.

    But they sure can harrass you.
    You can put a stop to that also by just taking the time to read the Fair Debt Collection Act and learn your rights.

    You may speak with an attorney to learn more about this.
    you want to talk about wrong?

    How about this:
    After the SOL expires they can't sue you
    you are definately wrong on that point. You most definately can still be sued and unless the passing of the SoL is presented as an affirmative defense (generally in the initial response), you can still find yourself paying off a judgment. Bad bad advice DL.

    The correct answer is :
    The credit reporting time is 7 years, beginning on the date of the delinquency NOT the reporting date, last transaction date, charge off date......I suggest you review the law according to the Federal Trade Commission
    http://www.ftc.gov/os/statutes/fcra/johnson.shtm
    from your link:

    Section 605(a)(4) provides that the credit bureau may report the chargeoff for seven years. Section 605(c)(1) provides that seven year period begins 180 days from that date.
    if you can do simple addition, that figures out to be 7 and 1/2 years. Good job supporting my statement. Thanks.



    Correct answer:
    The general rule relating to personal jurisdiction (as opposed to subject matter jurisdiction) jurisdiction is that a defendant can be sued where he resides or does business or where the transaction giving rise to the lawsuit occurred. There is also something called “long arm” jurisdiction permitting a defendant to be sued wherever he has had “minimum contacts” with that jurisdiction (and it doesn’t take much). There is a specific provision of California law that provides that if the person is out of the state, the statute of limitations may not run (legally speaking, it is said to be “tolled”) while the person is out of the state. Insofar as jurisdiction is concerned, it is very possible that you could be sued in one of several places.
    You do realize that that statemenet supports my statement, don;t you. See where it says

    jurisdiction is that a defendant can be sued where he resides or does business or where the transaction giving rise to the lawsuit occurred.
    that is generally the state of residence. If you will look, you are the one that said the jursidiction is based upon the state the bank is in.

    There is a specific provision of California law that provides that if the person is out of the state, the statute of limitations may not run (legally speaking, it is said to be “tolled”) while the person is out of the state. Insofar as jurisdiction is concerned, it is very possible that you could be sued in one of several places.
    First, unless you are a mind reader, the OP never gave which states are involved so bringing in Cali is useless without justification. Then, you should take note that that is exactly what I stated. Thanks for supporting my point even though you somehow believed you were proving me wrong. I guess that makes you wrong, twice over and too dumb to realize it. Way to go.


    and this:

    The correct answer to this question is sign nothing and put nothing in writing. It is in your best interest to make no payment nor to attempt to settle. After the SOL expires they can't sue you.
    is about the dumbest thing you have posted altogether. Unless OP knows the SoL has run, which he gave no true indication that it actually had, if he negotiates any sort of settlement, he needs to have it in writing lest the creditor may simply ignore such a settlement and OP has nothing to ever prove there was ever any sort of settlement.

    great advice DL. Why don;t you stick to your RSIATYASTP crap.

    Oh, and another stupid bit of info:

    But they sure can harrass you.
    You can put a stop to that also by just taking the time to read the Fair Debt Collection Act and learn your rights.
    First, harassment can be stopped regardless of it being first or third party collections.

    OP did mention an agency which tends to make me believe he is not dealing with the original creditor so the FDCPA would apply and harassment is not allowed per the FDCPA.

    If he is dealing with the original creditor, the FDCPA is meaningless as it does not apply to first party collections.

  10. #10
    Join Date
    Mar 2005
    Location
    Michigan
    Posts
    28,906

    Default Re: Old credit card debt, still on CR

    Statutes of limitation are deemed procedural in nature, meaning that a forum state will apply its own limitations period unless it has a "borrowing statute" which would apply another state's statute, typically that of the state where the cause of action accrued. This is a separate issue than personal jurisdiction over a defendant.

    deadlock provided a good clarification of the 7-1/2 year drop-off rule, although even with the clarification it is possible for a debt to remain on a credit report for that entire 7-1/2 year period.

    (Can you confine your war to a single thread, please? In Banter? Thanks.)

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